By Ayo Kehinde
The Securities and Exchange Commission (SEC) has ordered capital market operators to immediately stop all promotional activities linked to a purported initial public offering by Dangote Petroleum Refinery and Petrochemicals FZE, warning that it has neither received nor approved any application for such an offer.
In a public notice issued on Tuesday, the SEC said it had become aware of advertisements, flyers, digital banners and targeted emails circulating across social media and investment channels, promoting what was presented as a public offering by the refinery.
The commission expressed concern over the involvement of some registered capital market operators in the campaign, describing the exercise as an “unwholesome and manipulative” attempt to attract investors before any formal regulatory approval.
According to the SEC, some operators were actively soliciting advance subscriptions and encouraging investors to open accounts, pre-fund investments, and secure guaranteed share allocations in anticipation of the offer.
The regulator warned that such actions could mislead investors, distort market expectations, create information asymmetry and undermine confidence in Nigeria’s capital market.
It stressed that any invitation to encourage investors to commit funds to a non-approved offer constitutes a serious violation of the Investments and Securities Act and may amount to market manipulation.
Consequently, the commission directed all registered capital market operators, including stockbrokers and digital investment promoters, to immediately cease publishing, reposting or distributing any material related to the purported offer. It also ordered the removal of all unauthorised promotional content from websites, social media platforms and messaging groups within 24 hours.
In addition, operators were instructed to stop accepting deposits, commitments or expressions of interest connected to the proposed offering and refund any funds already collected from investors within 24 hours.
The SEC warned that non-compliant operators would face sanctions under the Investments and Securities Act 2025 and the commission’s regulations. It advised investors to rely only on official communications and assured the public that any future approved offer by Dangote Refinery would be accompanied by a duly authorised prospectus.
The development comes months after reports emerged that the Dangote Group planned to sell a 10 percent stake in its $20bn, 650,000-barrel-per-day refinery through a Pan-African IPO expected in 2026.
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